Lantheus Holdings, Inc.


LNTH

is expected to report second-quarter 2022 results on Jul 27.

In the last reported quarter, the company’s earnings of 97 cents per share surpassed the Zacks Consensus Estimate by 110.9%. Its earnings surpassed the consensus estimate in all of the trailing four quarters, the average surprise being 77.82%.

Let’s see how things are shaping prior to the announcement.

Factors at Play

Radiopharmaceutical Oncology

The continued adoption of PYLARIFY is expected to be advantageous for the radiopharmaceutical oncology business in the second quarter. Lantheus, in its first-quarter earnings update, noted that around 30,000 men had been imaged with PYLARIFY since its launch. Toward March-end, the company inked a strategic collaboration with Novartis to incorporate PYLARIFY in the latter’s planned development programs for their Pluvicto. The company also has contracts with 100% of its target U.S. academic institutions treating prostate cancer and other community hospitals, government facilities and freestanding imaging centers.

While exiting the first quarter, Lantheus had almost 700 customers across 45 states and the District of Columbia, ordering PYLARIFY regularly. These developments underscore Lantheus’ efforts to establish PYLARIFY as a PSMA PET imaging agent of choice in the U.S. prostate cancer community and are likely to have contributed to the top line in the upcoming second-quarter release.

The radiopharmaceutical oncology business is also likely to benefit from increased sales contributions from AZEDRA. With the fading impact of the COVID-19 pandemic, a rebound in deferred procedures and improved accessibility to hospitals are expected to have driven impressive sales growth for AZEDRA in the second quarter as it did in the previous quarter.

Precision Diagnostics

The precision diagnostics segment is likely to have benefited from its leading Microbubble franchise. The company’s ultrasound enhancing agent, DEFINITY, is expected to witness continued sales. In the prior-reported quarter, DEFINITY delivered enhanced sales amid hospital staffing challenges and rising COVID-19 levels. As U.S. economy returns to normalcy, despite continued COVID concerns, we anticipate this trend to have continued in the to-be-reported quarter, driving the top line.

The Estimate Picture

The Zacks Consensus Estimate for second-quarter revenues is pegged at $203.98 million, suggesting a rise of 101.84% from the prior-year quarter’s figure.

The consensus estimate for Q2 earnings per share is pegged at 70 cents, indicating an increase from the year-ago reported figure of 11 cents.

What Our Model Suggests

Per our proven model, a stock with the combination of a positive

Earnings ESP

and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has higher chances of beating estimates. However, this is not the case, as you can see:

Earnings ESP:

Lantheus has an Earnings ESP of -0.47%. You can uncover the best stocks to buy or sell before they’re reported with our

Earnings ESP Filter

.

Zacks Rank:

The company currently carries a Zacks Rank #1.

Stocks to Consider

Here are some companies that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat:

Merck & Co., Inc.


MRK

has an Earnings ESP of +7.18% and a Zacks Rank of #2. The company will release second-quarter 2022 results on Jul 28. You can see


the complete list of today’s Zacks #1 Rank stocks here.

Merck has a long-term earnings growth rate of 10.1%. MRK’s earnings yield of 7.93% compares with the industry’s 7.91%.

Alcon Inc.


ALC

has an Earnings ESP of +5.07% and a Zacks Rank of #2. Alcon is expected to release second-quarter 2022 results on Aug 16.

Alcon’s long-term earnings growth rate is estimated at 14.3%. ALC’s earnings yield of 3.33% compares with the industry’s (8.27%).

BrainsWay Ltd.


BWAY

currently has an Earnings ESP of +33.33% and a Zacks Rank of #1. BrainsWay is expected to release second-quarter fiscal 2022 results on Aug 10.

BrainsWay’s 2023 earnings growth rate is estimated to be 16.7%.

Stay on top of upcoming earnings announcements with the

Zacks Earnings Calendar

.

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